Foundry Chemicals Market Report Scope & Overview:
The Foundry Chemicals Market was valued at USD 4.38 Billion in 2025 and is projected to reach USD 6.72 Billion by 2035, growing at a CAGR of 4.37% during 2026–2035.
The Foundry Chemicals Market is anchored by binders, coatings, additives, and release agents that form molds and cores and then protect, feed, and release metal castings. Demand follows output of cast components for passenger vehicles, industrial machinery, construction equipment, water pipes, and aerospace structures. Binder chemistry depends on phenol, furfuryl alcohol, isocyanates, and sodium silicate, so feedstock and energy costs shape supplier margins and pricing. Suppliers are opening local plants near foundry clusters in Asia, Europe, and North America, while inorganic and low-emission systems are replacing legacy amine and phenolic formulations. Rising electric-vehicle structural castings and tighter workplace-exposure and emission rules are pushing foundries toward cleaner, higher-performance consumables, while digital process monitoring improves yield and lowers casting scrap.
⮞In August 2025, Vesuvius agreed to acquire Morgan Advanced Materials’ Molten Metal Systems business, including a 75% stake in Morganite Crucible (India), for an enterprise value of about USD 108.7 million. The deal extends Foseco’s foundry portfolio into crucibles and non-ferrous melt handling and is expected to lift its non-ferrous revenue share from 21% to 27%.
Foundry Chemicals Market Trends
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Inorganic and water-based binder systems are scaling in aluminum automotive foundries to cut core-making emissions.
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Giga-casting of electric-vehicle body structures is lifting demand for die release lubricants and plunger sprays.
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Foundry suppliers are localizing coating and resin plants close to Asian customers to shorten lead times.
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Real-time fluid monitoring is turning die lubrication into a data-driven managed service.
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Low-sulfur furan and low-VOC coating formulations are gaining share under tighter exposure limits.
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Additive-manufactured sand molds and cores are opening premium binder and coating niches.
U.S. Foundry Chemicals Market Outlook
The U.S. Foundry Chemicals Market was valued at USD 650 Million in 2025 and is projected to reach USD 890 Million by 2035, growing at a CAGR of 3.19% during 2026–2035.
The U.S. Foundry Chemicals Market benefits from the extensive foundry base that specializes in both ferrous and non-ferrous casting in the Midwest, Great Lakes region, and Southeast for automobiles, trucks, farm machinery, water pipes, and defense projects. Manufacturers like Foseco, ASK Chemicals, HA-International, Quaker Houghton, and Chem-Trend supply foundries producing iron and aluminum castings with binders, coatings, and die lubricants. Demand for aluminum die casting is growing due to the production of structural components of automobiles, whereas the foundries using iron will stick to cold-box and no-bake binders. OSHA exposure limits and EPA air permits drive reforms, and the need for low emission binders remains in place. The reshoring of casting activity due to tariffs has positively affected order intake, but the labor and energy costs remain a challenge.
⮞In January 2026, U.S.-based Quaker Houghton presented its Diecast iQ integrated solution at Euroguss 2026, combining DIESLICK die release lubricants and PLUNGERSLICK plunger lubricants with QH FLUID INTELLIGENCE monitoring and optimized spray hardware. The offering helps die casters lower scrap, extend die life, and control cost per shot, supporting aluminum casting demand in North America.
Foundry Chemicals Market Segment Analysis
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By Product Type, the Binders segment dominated the Foundry Chemicals Market with 47.82% share in 2025, while the Release Agents segment is the fastest growing with a CAGR of 5.71%.
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By Casting Process, the Sand Casting segment dominated the Foundry Chemicals Market with 58.64% share in 2025, while the Die Casting segment is the fastest growing with a CAGR of 5.38%.
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By Metal Type, the Cast Iron segment dominated the Foundry Chemicals Market with 38.46% share in 2025, while the Aluminum segment is the fastest growing with a CAGR of 5.52%.
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By End-Use Industry, the Automotive segment dominated the Foundry Chemicals Market with 39.14% share in 2025, while the Aerospace & Defense segment is the fastest growing with a CAGR of 5.93%.
By Product Type, Binders Lead While Release Agents Surge
Binders dominated the Foundry Chemicals Market in 2025, as every sand mold and core relies on a resin or silicate system to hold its shape under molten metal. Phenolic urethane cold-box, furan and phenolic no-bake, shell resin, and sodium silicate systems are consumed in large volumes by iron, steel, and aluminum foundries. Binder demand rises with engine blocks, cylinder heads, brake components, and large industrial castings, so the segment tracks vehicle and machinery output closely. Producers such as ASK Chemicals, Hüttenes-Albertus, and Foseco defend share through technical service, on-site sand management, and customer-specific formulations. Switching costs remain high because foundries qualify binders for each part number, which supports stable, recurring volumes across the forecast period.
Release Agents are the fastest-growing product type, driven by the shift toward large structural aluminum die castings for electric vehicles. High-pressure die casting machines use water-based and minimum-quantity lubricants to prevent soldering, control die temperature, and extend tool life, so each new casting cell adds recurring spray demand. Chem-Trend, Quaker Houghton, Henkel, and other suppliers are offering lubricant products along with monitoring, mixing, spraying equipment that will reduce scrap and water consumption. Coatings are very important for ferrous molds and cores, as they improve surface finish and reduce fettling. Inoculants, fluxes, degassing agents are additives, which will help improve metal quality, and "Others" includes feeders and filters.
⮞In January 2026, Quaker Houghton presented its Diecast iQ integrated die-casting solution at Euroguss 2026, combining release lubricants, plunger lubricants, fluid monitoring, and spray hardware to improve process control and reduce casting scrap.
By Casting Process, Sand Casting Leads as Die Casting Accelerates
Sand Casting dominated the Foundry Chemicals Market in 2025, as this is the most cost-effective process for the production of medium to large parts from ferrous and non-ferrous metals. Engine block, pump casing, valve body, wind turbine hub, and municipal casting all need this type of manufacturing process, and each of the casting molds requires the use of binders, coating, and additives. China, India, Germany, and the United States are the major centers of various sand foundries who procure chemicals under technical contracts. The cold-box, no-bake, and inorganic processes are employed, providing the company with a broad product range. In commodity iron casting, price sensitivity is high, thus affecting buying decisions.
Die Casting is the fastest-growing process, as automakers adopt giga-cast aluminum underbody and battery housing parts that replace dozens of stamped components. These machines require high-performance release agents, plunger lubricants, and melt treatment products, and many programs are testing water-soluble cores for hollow geometries, such as Foseco’s WASCO binder. Investment Casting adds demand for colloidal silica and zircon-based shell binders used in turbine blades and aerospace structures, while Centrifugal Casting and other processes provide steady niche volumes. Expanding aluminum capacity in China, Mexico, India and Eastern Europe is expected to keep die casting chemistry growing faster than sand casting through 2035.
⮞In October 2025, Germany-based Foundry Sand Processing GmbH officially opened an industrial wet-reclamation facility for used foundry sand, with a planned annual capacity of 16,000 tonnes, demonstrating commercial investment in sand recovery and circular foundry operations.
By Metal Type, Cast Iron Leads While Aluminum Grows Fastest
Cast Iron dominated the Foundry Chemicals Market in 2025, because gray and ductile iron will remain the dominant alloys for engine blocks, brake discs, piping, pump casings, and industrial/agricultural machinery. The casting of iron uses large quantities of phenolic urethane, furan, and silicate resins along with refractory slurries, feeders, and inoculants that control the structure of graphite and contraction. Cast irons of compacted graphite type used in diesel engines offer additional technological problems with coating and metallurgy. The biggest casting capabilities of iron exist in China, India, and Europe, and water/municipal sewage expenditures represent basic demand. Although light-vehicle iron content is slowly declining, commercial vehicles and industrial machinery continue to sustain consumption.
Aluminum is the fastest-growing metal type, supported by vehicle lightweighting, electric vehicle battery enclosures, and structural body castings. Degassing materials, fluxing materials, grain refinement materials, coating materials and die lubricants are used in aluminum foundries and inorganic cores are being increasingly used in low-pressure and gravity casting foundries in order to avoid emissions from the binders. The steel castings, which are used in mining, railways, valves, and power plants, are also very important and consume binders and coatings that can withstand high temperatures while pouring and resist penetration by metals. Other metals such as copper alloy and magnesium are used in relatively small quantities for different purposes.
⮞In August 2025, India’s Shendra-Bidkin Industrial Area approved an expansion project for Varad Alloy Casting to establish a new aluminum casting and die-casting foundry, supporting additional domestic production capacity for non-ferrous cast components.
By End-Use Industry, Automotive Leads as Aerospace Accelerates
Automotive dominated the Foundry Chemicals Market in 2025, as passenger cars and Commercial vehicles use castings in the engine, transmission, chassis, brakes, and even in the body structure. Every casting line requires a unique chemistry, ranging from iron cold box binders for cylinder blocks to aluminum die lubricants for housing. Tier one casters enter into long-term contracts and require consistent performance, low scrap rates and clean technology. The manufacture of vehicles in China, India, Mexico, and Eastern Europe drives foundry demand, but the change to electric drive causes a demand shift from cylinder blocks to motors housing, battery trays, and thin wall structural castings.
Aerospace & Defense is the fastest-growing end-use industry, as Aircraft production growth, engine overhaul, and defense modernization drive up requirements for investment casting of turbine blades, structural parts, and titanium/nickel alloy components. They are made using colloid silica bonders, ceramic shell sand, and specific coatings requiring stringent traceability and quality specifications. Demand from Diversified Sectors of Industry Machinery, Construction & Infrastructure, and Others via pumps, valves, compressors, mining machines, wind turbine hubs, and water infrastructure is less reliant on vehicle cycles. The expanding defense budget and the backlog of commercial aviation should ensure that the demand for premium consumables will stay above market trends until 2035.
Regional Analysis
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Region |
Major Country |
Share within Region, 2025 (%) |
|---|---|---|
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North America |
United States |
77.84% |
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Europe |
Germany |
24.73% |
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Asia Pacific |
China |
61.27% |
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Middle East & Africa |
South Africa |
38.62% |
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Latin America |
Brazil |
52.91% |
North America Foundry Chemicals Market Insights
North America accounted for 18.94% of the Foundry Chemicals Market in 2025, supported by a mature foundry base in the United States, Canada, and Mexico serving automotive, heavy truck, agricultural, and municipal infrastructure customers. The United States hosts regional operations of Foseco, ASK Chemicals, HA-International, Quaker Houghton, and Chem-Trend, which supply binders, coatings, and die lubricants to iron and aluminum foundries. Mexico’s growing automotive assembly base and nearshoring of casting work are lifting aluminum die casting volumes, while Canada contributes ferrous and non-ferrous castings for transport and mining equipment. Stricter air emission rules and workplace exposure limits are encouraging low-emission binder and coating reformulation, even as labor shortages and energy costs constrain output.
⮞In June 2025, General Motors announced a USD 4 billion investment over two years to expand U.S. vehicle production, including facilities in Michigan, Kansas, and Tennessee, supporting manufacturing activity across automotive component supply chains.
Europe Foundry Chemicals Market Insights
Europe is a technology-intensive Foundry Chemicals Market, led by Germany, where ASK Chemicals and Hüttenes-Albertus are headquartered and where automotive foundries pioneered inorganic binder systems. Italy, France, Spain, the United Kingdom, and Poland host large iron and aluminum casting clusters supplying automotive, machinery, and construction customers. REACH and CLP rules push suppliers to reduce free phenol, formaldehyde, and furfuryl alcohol, while high energy prices challenge foundry margins and have led to some capacity closures. At the same time, premium demand is emerging for low-emission binders, water-based coatings, and digital sand management services. Eastern European die casters continue to add aluminum capacity for global automakers.
⮞In October 2025, Foundry Sand Processing GmbH officially opened its industrial wet-reclamation facility in Germany, supplying regenerated sand to an automotive foundry and establishing a commercial service model for recovering used foundry sand.
Asia Pacific Foundry Chemicals Market Insights
Asia Pacific dominated the Foundry Chemicals Market with 47.36% share in 2025 and is also the fastest-growing region, expanding at a CAGR of 5.68% during 2026–2035. China produces the largest volume of castings worldwide, and suppliers such as Jinan Shengquan, ASK Chemicals, and Hüttenes-Albertus serve its automotive, machinery, and pipe foundries. India is an important growth market, with foundry clusters in Coimbatore, Kolhapur, and Rajkot scaling on automotive and export demand, supported by local suppliers such as IVP Limited and Foseco India. Japan and South Korea focus on high-quality iron, aluminum, and precision castings, and HA Group’s new Miryang coatings plant strengthens local supply. ASEAN nations add growth through automotive assembly and machinery manufacturing.
⮞In January 2025, Japan’s Kimura Foundry inaugurated Kimura Foundry India and signed an agreement with the Karnataka German Technical Training Institute to use its facilities for foundry technology support and workforce training.
Middle East & Africa and Latin America Foundry Chemicals Market Insights
The Middle East & Africa Foundry Chemicals Market is expanding at a CAGR of 4.12% during 2026–2035, supported by infrastructure, oil and gas equipment, and local manufacturing programs in Saudi Arabia, the UAE, and Qatar. South Africa has the region’s most established ferrous foundry base serving mining, rail, and power equipment, and it leads regional demand. Imports remain high because few local chemical producers exist, creating room for suppliers to open distribution hubs. Latin America is led by Brazil, where automotive, agricultural machinery, and wind component casting drive consumption, followed by Argentina and Colombia. Currency volatility and import dependence on binders and additives create pricing risk, yet nearshoring and infrastructure investment support steady growth through 2035.
⮞In July 2025, the Brazilian Foundry Association (ABIFA) reported that domestic castings production increased 1.7% year over year during the first half of 2025, while domestic consumption rose 2.6%, providing an industry-specific indicator of regional casting demand.
Market Dynamics
Growth Drivers: Vehicle lightweighting and structural casting expansion lifting consumables demand
Global vehicle makers are shifting from stamped steel assemblies to large aluminum and iron castings that reduce weight, part count, and assembly cost, which directly increases consumption of die lubricants, binders, coatings, and melt treatment chemicals. Electric platforms need motor housings, battery trays, and structural underbody parts that run on high-pressure die casting cells, each requiring continuous spraying of release agents and strict thermal control. Industrial equipment, wind turbine hubs, and rail components also require large, high-integrity castings that depend on advanced binders and coatings. Rising vehicle output across China, India, and Mexico is therefore translating into steady volume gains for foundry chemical suppliers worldwide.
Environmental legislation is another source of growth because foundries need to reduce the emissions of volatile organic compounds, amines, and phenolic vapors in order to comply with air emission permits and occupational exposure limits. The use of inorganic binders, aqueous coatings, and low sulfur furans enables foundries to maintain working conditions and quality of castings, and hence increases their demand for high-end materials. Investment in infrastructure such as water pipes, valves, and power generation equipment provides a consistent base demand, whereas 3D-printed sand molds and modeling software increase demand for special binders and coatings.
⮞In October 2025, Stellantis announced a planned USD 13 billion investment in U.S. operations over four years, including expanded vehicle production and manufacturing upgrades across several states, reinforcing activity in automotive manufacturing supply chains.
Restraints: Foundry closures, raw-material volatility, and emission compliance costs limiting growth
The market faces structural pressure from consolidation and closures among small foundries, especially in Europe and North America, where high energy costs, skilled labor shortages, and weak demand for internal combustion engine parts have reduced casting output. Fewer foundries mean fewer customers for binders, coatings, and additives, and remaining buyers negotiate hard on price. Raw materials such as phenol, formaldehyde, furfuryl alcohol, isocyanates, and silica sand are subject to price swings linked to petrochemical and energy markets, compressing supplier margins when cost increases cannot be passed through quickly. Long qualification cycles also slow adoption of improved chemistries, because foundries must validate each binder or coating for every part number.
Moreover, regulatory compliance raises costs because of the restrictions imposed by REACH, CLP, and OSHA exposure regulations on chemicals like free phenol, formaldehyde, and specific types of isocyanate that will have to be substituted or tested for. The move towards electric cars lowers the need for standard iron blocks and cylinder heads that are among the most chemically intensive castings and may lower the volume of binders used in established markets. Moreover, the cyclical nature of the demand for products in the automotive and construction industries will lead to irregular orders, affecting capacity planning efforts. Small-scale competitors in Asia and Latin America operate without discipline and drive down prices.
Opportunities: Inorganic binders, die-casting digitalization, and Asian capacity build-out opening growth avenues
Inorganic binders represent a major opportunity as automakers and foundries seek to eliminate emissions from core making, particularly for aluminum cylinder heads and complex suspension parts. Suppliers with proven systems, such as ASK Chemicals’ INOTEC and Hüttenes-Albertus’ inorganic offerings, can command premium prices and secure multi-year contracts. Water-soluble core technologies for high-pressure die casting could unlock hollow, complex castings that were previously difficult to produce, expanding the addressable market. Digital fluid monitoring and managed die-lubrication services also create service-based revenue streams, because they let casters control concentration, spray volume, and die temperature in real time while reducing water, scrap, and cost per shot.
Asia Pacific’s capacity build-out provides additional opportunity, as India’s expanding foundry clusters, ASEAN automotive plants, and Chinese aluminum casters need local, reliable supply of binders, coatings, and release agents. Suppliers that build regional plants gain faster delivery, lower logistics cost, and closer technical support for fast-growing foundry customers. Additive manufacturing of sand molds and cores opens another premium niche for specialized binders and refractory coatings, while sand reclamation and recycling services help foundries meet sustainability targets. Non-ferrous expansion, including aluminum, copper alloys, and magnesium, also supports demand for fluxe s, degassers, and crucible-related products, giving diversified suppliers room to grow beyond traditional iron foundry chemistry.
⮞In February 2026, Foundry Management & Technology reported that Spain’s Condals Group used Norican’s Monitizer digital foundry suite to improve process monitoring and operator compliance, with reported scrap-rate reductions demonstrating the potential of data-driven casting optimization.
Recent Developments:
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September 2026: ASK Chemicals rolled out its DISKOVER PP/DS production-planning system across six manufacturing locations in Germany, Spain, the United States, and Mexico.
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August 2026: Foseco India’s board approved the acquisition of Vesuvius India’s Mehsana, Gujarat manufacturing plant for INR 432.5 million, adding crucible, non-ferrous, and foundry consumable capacity; completion is expected by December 2026, pending approvals.
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June 2026: Metko HA completed its Bilecik, Türkiye plant expansion, doubling the site to 30 dekar with a new finishing plant and laboratory.
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March 2026: HA Group opened a new coatings plant in Miryang, South Korea, adding capacity beside its Siheung resin site.
Foundry Chemicals Market Companies are:
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ASK Chemicals GmbH
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Hüttenes-Albertus Chemische Werke GmbH
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Vesuvius plc (Foseco)
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Imerys S.A.
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Kao Corporation
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Elkem ASA
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IVP Limited
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John Winter & Company Ltd.
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Münzing Chemie GmbH
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Mancuso Chemicals Limited
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Georgia-Pacific Chemicals LLC
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Quaker Houghton
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Chem-Trend L.P.
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Henkel AG & Co. KGaA
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FUCHS SE
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Refratechnik Holding GmbH
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Jinan Shengquan Group Share-Holding Co., Ltd.
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MORESCO Corporation
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Nissan Chemical Corporation
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BASF SE
Foundry Chemicals Market Report Scope:
| Report Attributes | Details |
|---|---|
| Market Size in 2025 | USD 4.38 Billion |
| Market Size by 2035 | USD 6.72 Billion |
| CAGR | CAGR of 4.37% From 2026 to 2035 |
| Base Year | 2025 |
| Forecast Period | 2026-2035 |
| Historical Data | 2022-2024 |
| Report Scope & Coverage | Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook |
| Key Segments | • By Product Type (Binders, Coatings, Additives, Release Agents & Others) • By Casting Process (Sand Casting, Investment Casting, Die Casting & Others) • By Metal Type (Cast Iron, Steel, Aluminum & Others) • By End-Use Industry (Automotive, Industrial Machinery, Construction & Infrastructure, Aerospace & Defense & Others) |
| Regional Analysis/Coverage | North America (US, Canada), Europe (Germany, UK, France, Italy, Spain, Russia, Poland, Rest of Europe), Asia Pacific (China, India, Japan, South Korea, Australia, ASEAN Countries, Rest of Asia Pacific), Middle East & Africa (UAE, Saudi Arabia, Qatar, South Africa, Rest of Middle East & Africa), Latin America (Brazil, Argentina, Mexico, Colombia, Rest of Latin America). |
| Company Profiles | ASK Chemicals GmbH, Hüttenes-Albertus Chemische Werke GmbH, Vesuvius plc (Foseco), Imerys S.A., Kao Corporation, Elkem ASA, IVP Limited, John Winter & Company Ltd., Mancuso Chemicals Limited, Quaker Houghton, Chem-Trend L.P., Henkel AG & Co. KGaA, FUCHS SE, Jinan Shengquan Group Share-Holding Co., Ltd., MORESCO Corporation, BASF SE |
Frequently Asked Questions
Key players include ASK Chemicals GmbH, Hüttenes-Albertus Chemische Werke GmbH, Vesuvius plc (Foseco), Imerys S.A., and Kao Corporation, among others.
Key opportunities include inorganic and water-soluble binder systems, digital die-lubrication services, additive-manufactured sand molds, and new coating and resin capacity in Asia Pacific.
Rising demand for lightweight aluminum and iron castings in automotive and industrial equipment, combined with stricter emission rules driving cleaner binders and coatings.
Binders dominated with 47.82% share in 2025, while Release Agents is the fastest growing segment with a CAGR of 5.71%.
Asia Pacific dominated the Foundry Chemicals Market in 2025 with 47.36% share and is also the fastest-growing region with a CAGR of 5.68%, while North America accounted for 18.94% share.